What can I afford?

Before you buy a home, it’s essential to figure out what you can actually afford. This simple calculator tells you the price range you can afford, along with the mortgage size your budget can handle. Here’s a rule of thumb: your household expenses should not add up to more than 40% of your household income (before taxes).

What are household expenses?

Household expenses typically include:

Property taxes

Heating and utility costs

Mortgage payments

50% of condominium fees

Payments on outstanding loans, leases and credit card balances

What does household income include?

Your household income includes your salary and any other income you declare.

Figuring out how much to spend on a property depends on many factors. First of all, your down payment will determine the amount of the loan you'll need, and this will affect the size and duration of your mortgage payments. You should determine your current living and other expenses to…

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